NAC 104.100Definitions. (NRS 104.9526)As used
in this chapter, unless the context otherwise requires, the words and terms
defined in NAC 104.105 to 104.150,
inclusive, have the meanings ascribed to them in those sections.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001;
A by R072-11, 5-30-2012)

NAC 104.105“Amendment” defined. (NRS
104.9526)“Amendment”
means a UCC document that purports to amend the information contained in a
financing statement. The term includes, without limitation, an assignment, a
continuation and a termination.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

NAC 104.110“Assignment” defined. (NRS 104.9526)“Assignment”
means an amendment that purports to assign all or part of the power of a
secured party to authorize an amendment to a financing statement.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2011;
A by R072-11, 5-30-2012, eff. 7-1-2013)—(Substituted in revision for NAC
104.115)

NAC 104.130“Initial financing statement” defined. (NRS 104.9526)“Initial
financing statement” means a UCC document which contains the information
required to be included in an initial financing statement and which causes the
filing officer to establish the initial record of the existence of a financing
statement.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

NAC 104.135“Organization” defined. (NRS 104.9526)“Organization”
means a person other than an individual.

1. “Remitter” means a person who tenders a
UCC document to the filing officer for filing, whether the person is a filer or
an agent or representative of a filer who is responsible for tendering the
document for filing.

2. The term does not include a person
responsible merely for the delivery of a UCC document to the filing officer,
including, without limitation, the United States Postal Service or a courier
service.

NAC 104.150“UCC document” defined. (NRS 104.9526)“UCC
document” means an initial financing statement, an amendment, an assignment, a
continuation statement, a termination statement, an information statement or an
information request. The term is not limited to a written document, but
includes a document transmitted electronically or through any other medium
authorized by the filing officer.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001;
A by R072-11, 5-30-2012; R072-11, 5-30-2012, eff. 7-1-2013)

NAC 104.155Duties of filing officer ministerial. (NRS 104.9526)The
duties and responsibilities of the filing officer with respect to the
administration of the UCC are ministerial. The acceptance for filing of, or the
refusal to file, a UCC document pursuant to NAC 104.100
to 104.375, inclusive, does not:

1. Constitute a determination concerning the
legal sufficiency or insufficiency of the UCC document;

2. Constitute a determination that a
security interest in collateral exists or does not exist;

3. Constitute a determination that
information in the UCC document is correct or incorrect, in whole or in part;
or

4. Create a presumption that information in
the UCC document is correct or incorrect, in whole or in part.

1. A UCC document may be tendered for filing
with the filing officer by:

(a) Delivery in person at the street address of the
filing officer. The time of filing of a UCC document delivered by this method
is the time at which delivery of the UCC document is accepted by the filing
officer.

(b) Delivery by a courier at the street address of
the filing officer. The time of filing of a UCC document delivered by this
method is the earlier of the time the UCC document is first examined by the
filing officer for processing or the close of business on the next business day
following the time of delivery, regardless of whether the filing office is open
for business at the time of delivery.

(c) Delivery by the United States Postal Service at
the mailing address of the filing officer. The time of filing of a UCC document
delivered by this method is the close of business on the next business day
following the time of delivery, regardless of whether the filing office is open
for business at the time of delivery.

(d) Delivery by electronic or telephonic
transmission to a facsimile machine of the filing officer at the telephone
number for the facsimile machine. The time of filing of a UCC document delivered
by this method is the earlier of the time the UCC document is first examined by
the filing officer for processing or the close of business on the next business
day following the time of delivery, regardless of whether the filing office is
open for business at the time of delivery.

(e) Delivery by electronic transmission through the
website of the Secretary of State. The time of filing of a UCC document
delivered by this method is the actual time of acceptance of the UCC document
by the website, regardless of whether the filing office is open for business at
the time of delivery.

2. A UCC document may be transmitted
electronically using any technologies and protocols authorized by the filing
officer.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

REVISER’S NOTE.

The regulation of the Secretary of State filed on
October 30, 2001, the source of this section, became effective on that date and
contains the following provisions not included in NAC:

“Sec. 43. Notwithstanding the
provisions of paragraph (e) of subsection 1 of section 13 of this regulation [NAC 104.170], the time of filing of a UCC document
delivered by electronic transmission through the website of the Secretary of
State pursuant to paragraph (e) of subsection 1 of section 13 of this
regulation before the website is enabled to accept such filings without
examination by a filing officer is the earlier of the time the UCC document is
first examined by the filing officer for processing or the close of business on
the next business day following the time of delivery, regardless of whether the
filing office is open for business at the time of delivery.”

NAC 104.175Methods of payment of fees. (NRS 104.9526)Filing
fees and other fees for services concerning public records may be paid by any
of the following methods:

1. Cash payments made in legal tender of the
United States may be made in person to the cashier at the filing office.

2. A check payable in legal tender of the
United States, including a check in an amount to be filled in by the filing
officer but not to exceed a specified amount, will be accepted for payment by
the filing officer if the check is drawn on a bank acceptable to the filing
officer or if the drawer is acceptable to the filing officer. If a check
accepted by the filing officer as payment for a filing is returned for
insufficient funds, the filing officer will so indicate on the filing and the
filing shall be deemed void.

3. The filing officer will accept payment
via an electronic funds transfer in accordance with the rules of the National
Automated Clearing House Association from a remitter who has entered into an
appropriate arrangement for such a transfer that has been approved by the
National Automated Clearing House Association and who authorizes the relevant
transfer pursuant to that arrangement and those rules.

4. A remitter may open a trust account for
the prepayment of filing fees by submitting an application furnished by the
filing officer. Filing fees may be prepaid in amounts of not less than $100.
The filing officer will issue an account number to be used by a remitter who
wishes to pay filing fees in advance. The filing officer will deduct filing
fees from the remitter’s trust account when authorized to do so by the
remitter. The remitter must provide to the filing officer written authorization
to use the trust account to pay filing fees.

5. The filing officer will accept payment
from a remitter using a credit or debit card issued by a card issuer approved
by the filing officer. The remitter must provide the filing officer with the
card number, the expiration date of the card, the name of the approved card
issuer, the name of the individual to whom or the organization to which the
card was issued and the billing address for the card. Such a payment is not
tendered until the card issuer or its agent has confirmed to the filing officer
that payment will be forthcoming.

1. In addition to the grounds listed in NRS 104.9516 upon which the filing
officer may refuse to accept a record, the filing officer will refuse to accept
a UCC document if:

(a) The UCC document contains the name or address
of more than one secured party or assignee and any part of the name or address
of a secured party or assignee is missing or illegible;

(b) An address is not specified in the address
field of the form used for filing the UCC document; or

(c) The UCC document is an amendment form that
includes more than one filing action.

2. As used in this section:

(a) “Address” means a street address or post office
box, and a city, state and postal code, except that the address for a location
in a foreign country may exclude a state and any other information which is not
of standard use in that foreign country to identify an address.

(b) “Amendment form” means UCC Financing Statement
Amendment, UCC3.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001;
A by R072-11, 5-30-2012)

NAC 104.205Refusal to accept document for filing: Document and fee returned.
(NRS
104.9526)If
the filing officer finds grounds to refuse to accept a UCC document, the filing
officer will return the UCC document to the remitter and refund the filing fee.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

NAC 104.210Filer responsible for legal effectiveness of filing. (NRS 104.9526)If the
filing officer notices a potential defect in a UCC document, whether or not the
document was filed or refused for filing, the filing officer may so inform the
filer or remitter, but has no duty to do so. The responsibility for the legal
effectiveness of a filing rests with the filer and the remitter, and the filing
officer has no responsibility for the legal effectiveness of a filing.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

NAC 104.215Filing document found satisfactory after originally refused for
filing. (NRS 104.9526)If a
secured party or a remitter demonstrates to the satisfaction of the filing
officer that a UCC document which was refused for filing should not have been
so refused, the filing officer will:

1. File the UCC document as provided in NAC 104.100 to 104.375,
inclusive, with a filing date and time assigned when the filing occurs; and

2. File a filing officer statement that
provides the effective date and time of filing, which must be the date and time
the UCC document was originally tendered for filing.

(a) Each secured party named on the initial
financing statement must be a secured party of record, except that if the
initial financing statement names an assignee, the secured party who is the
assignor must not be a secured party of record and the secured party who is the
assignee must be a secured party of record.

(b) The status of a debtor named on the initial
financing statement must be active. The status of such a debtor must continue
as active for 1 year after the financing statement lapses.

(c) The status of the financing statement must be
active. A lapse date 5 years after the filing date must be calculated, unless
the initial financing statement indicates that it is filed:

(1) With respect to a public-financing
transaction or a manufactured-home transaction, in which case the lapse date
must be 30 years after the filing date; or

(2) Against a transmitting utility, in which
case there must be no lapse date.

2. A financing statement remains active for
1 year after it lapses, or if it indicates that it is filed against a
transmitting utility, for 1 year after it is terminated with respect to all
secured parties of record.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

NAC 104.230Action on lapse date. (NRS 104.9526)If a
continuation of a financing statement is not timely filed, the financing
statement lapses on its lapse date, but the filing officer will take no action
concerning the financing statement at that time. On the first anniversary of
the lapse date, the information management system will render the financing
statement inactive and the financing statement will no longer be made available
to a searcher unless inactive financing statements are requested by the
searcher and the financing statement is still retrievable by the information
management system.

1. The first day on which a continuation of
a financing statement may be filed is:

(a) The day of the sixth calendar month preceding
the month in which the financing statement will otherwise lapse that
corresponds to the day of the month on which the financing statement will
otherwise lapse; or

(b) If there is no such corresponding day, the last
day of the sixth calendar month preceding the month in which the financing
statement will otherwise lapse.

2. The last day on which a continuation of a
financing statement may be filed is the date on which the financing statement
will otherwise lapse.

1. Upon the timely filing of a continuation
of a financing statement by a secured party of record, the lapse date of the
financing statement is extended for 5 years.

2. The filing of a continuation of a
financing statement has no effect on the status of any party to the financing
statement.

3. Upon the filing of a continuation of a
financing statement, the status of the financing statement remains active.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

NAC 104.243Addendum form or additional party form must be used to add
additional debtors or additional secured parties. (NRS 104.9526)

1. An addendum form or additional party form
must be used to add additional debtors or additional secured parties to an
initial financing statement or an amendment. If an additional debtor or
additional secured party is named on a form or attachment other than an
addendum form or additional party form, the additional debtor or secured party
will not be filed and indexed pursuant to NRS 104.9519.

2. As used in this section:

(a) “Addendum form” means:

(1) If an initial financing statement is being
filed, UCC Financing Statement Addendum, Form UCC1Ad.

(2) If an amendment is being filed, UCC
Financing Statement Amendment Addendum, Form UCC3Ad.

(b) “Additional party form” means:

(1) If an initial financing statement is being
filed, UCC Financing Statement Additional Party, Form UCC1AP.

(2) If an amendment is being filed, UCC
Financing Statement Amendment Additional Party, Form UCC3AP.

1. An amendment to a financing statement
affects the status of the debtors and secured parties as follows:

(a) An amendment that amends only the description
of collateral or one or more addresses has no effect on the status of any
debtor or secured party. If such an amendment:

(1) Is authorized by less than all of the
secured parties, the amendment affects only the interests of each authorizing
secured party.

(2) Adds collateral and is authorized by less
than all of the debtors, the amendment affects only the interests of each
authorizing debtor.

(b) An amendment that changes a debtor’s name has
no effect on the status of any debtor or secured party, except that the related
initial financing statement and all related UCC documents that include an
identification of the initial financing statement will be cross-indexed in the
information management system so that a search under either the debtor’s old
name or the debtor’s new name will reveal the initial financing statement and
the related UCC documents. Such an amendment affects only the rights of its
authorizing secured parties.

(c) An amendment that changes the name of a secured
party has no effect on the status of any debtor or any secured party, but the
new name will be added to the index as if the name were a new secured party of
record.

(d) An amendment that adds the name of a new debtor
has no effect on the status of any party to the financing statement, except
that the name of the new debtor will be added as a new debtor on the financing
statement. The addition affects only the rights of the secured parties
authorizing the amendment.

(e) An amendment that adds a new secured party has
no effect on the status of any party to the financing statement, except that
the name of the new secured party will be added as a new secured party on the
financing statement.

(f) An amendment that deletes a debtor has no
effect on the status of any party to the financing statement, even if the
amendment purports to delete all debtors.

(g) An amendment that deletes a secured party of
record has no effect on the status of any party to the financing statement,
even if the amendment purports to delete all secured parties of record.

2. An amendment has no effect on the status
of the financing statement, except that a continuation may extend the period of
effectiveness of the financing statement.

1. The filing of a termination of a
financing statement has no effect on the status of any party to the financing
statement.

2. The filing of a termination of a
financing statement has no effect on the financing statement and the financing
statement will remain active in the information management system for 1 year
after it lapses, unless the termination relates to a financing statement that
indicates it is filed against a transmitting utility, in which case the
financing statement will become inactive 1 year after it is terminated with
respect to all secured parties of record.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

NAC 104.260Effect of filing information statement. (NRS 104.9526)The
filing of an information statement has no effect on the status of the financing
statement.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001;
A by R072-11, 5-30-2012; R072-11, 5-30-2012, eff. 7-1-2013)

1. The filing officer will use an
information management system to store, index and retrieve information relating
to financing statements and other UCC documents. The information management
system will include:

(a) An index of the names of debtors named on
financing statements that have not lapsed.

(b) Identification numbers, as follows:

(1) Each initial financing statement will be
identified by a unique file number assigned pursuant to NRS 104.9519. The file number will
be stamped on a written initial financing statement or otherwise permanently
associated with the record maintained for the initial financing statement in
the information management system. A record will be created in the information
management system for each initial financing statement, and all information
composing the record will be maintained in the system. The record will be
identified by the same information assigned to the initial financing statement.

(2) A UCC document other than an initial
financing statement will be identified by a unique file number assigned by the
filing officer. In the information management system, records of all UCC
documents other than initial financing statements will be linked to the record
of their related initial financing statement.

2. The type of UCC document from which data
is transferred will be identified in the information management system from
information supplied by the remitter.

3. The filing date and filing time of UCC
documents will be stored in the information management system. Calculation of
the lapse date of an initial financing statement will be based on the filing
date.

4. The names and addresses of debtors and
secured parties will be transferred from UCC documents to the information
management system using one or more data-entry or transmittal techniques.

5. Each financing statement will have the
status of active or inactive in the information management system.

6. The total number of pages in a UCC
document will be maintained in the information management system.

7. The information management system will
indicate whether or not a financing statement will lapse and, if so, when it
will lapse. The lapse date will be determined as provided in NRS 104.9515.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

NAC 104.305Storage of names of individuals. (NRS 104.9526)The
names of individuals will be stored in files that include only the names of
individuals and not the names of organizations. Separate data-entry fields will
be established for the first, middle and last names of individuals. A filer shall
place the name of a debtor who has only a single name in the last-name field.
The filing officer assumes no responsibility for the accurate designation of
the components of a name, but will accurately enter the data in accordance with
the designation provided by the filer.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

NAC 104.310Inclusion of prefix, suffix or title with name of filer. (NRS 104.9526)

(b) A suffix or title that is not part of the name
of an individual, including, without limitation, “M.D.” and “Esq.”

2. A filer may include in a UCC document a
suffix that specifies the individual being named, including, without
limitation, “Senior,” “Junior,” “I,” “II” and “III.” Such a suffix must be
entered in the field designated for name suffixes.

3. Notwithstanding the provisions of
subsections 1 and 2, if a UCC document is submitted with designated name
fields, the data will be entered in the information management system exactly
as it appears in those name fields.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

NAC 104.313Acceptable characters. (NRS 104.9526)When
entering information concerning a debtor or secured party into the information
management system, the filing officer will not enter any character other than
the letters A through Z in any case, the numerals 0 through 9 and the
ampersand.

1. If a name is specified for a trust in its
organic documents, the full legal name of the trust as set forth in those
documents must be used in a UCC document and the trust will be treated as an
organization. If a trust is not so named, the name of the settlor must be used.
If the settlor is an organization, the name will be treated as an organization
name. If the settlor is an individual, the name will be treated as an
individual name.

2. A UCC document that uses the name of the
settlor must include other information provided by the filer to distinguish the
debtor trust from other trusts having the same settlor, and all financing
statements filed against trusts or trustees acting with respect to property
held in trust must indicate the nature of the debtor. If this is done in, or as
part of, the name of the debtor, it will be entered in the information
management system as if it were a part of the name.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

NAC 104.320Designation of name as individual or organization. (NRS 104.9526)A filing
must designate whether a name is the name of an individual or an organization.
If the name is that of an individual, the first and last names must be given,
and a middle name or initial and any permissible suffix may be given.

1. The filing officer will enter the name of
an organization as specified in a UCC document into the information management
system exactly as the name of the organization is set forth in the UCC
document, even if it appears that multiple names are set forth in the document
or if it appears that the name of an individual has been included in the field
designated for an organization name.

2. The filing officer will enter the first,
middle and last names of an individual and any suffix as specified in a UCC
document into the information management system exactly as those names are set
forth in the UCC document.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

NAC 104.330Correction of error by filing officer. (NRS 104.9526)The
filing officer may at any time correct an error made by his or her employees in
the information management system. If the correction occurs after the filing
officer has issued a certification date, the filing officer will file a filing
officer statement in the information management system identifying the record
to which it relates, specifying the date of the correction and explaining the
nature of the corrective action taken. The record will be preserved as long as
the record of the initial financing statement is preserved in the information
management system.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

NAC 104.335Notification of bankruptcy proceeding. (NRS 104.9526)The
filing officer will take no action upon receipt of notification of a bankruptcy
proceeding involving a debtor named in the information management system,
regardless of whether that notification is formal or informal.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

Search Request

NAC 104.350Searchable index. (NRS 104.9526)The
filing officer will maintain for public inspection a searchable index for all
records of UCC documents. The index will provide for the retrieval of a record
by the name of the debtor and by the file number of the initial financing
statement and each filed UCC document relating to the initial financing
statement.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

NAC 104.355Delivery of request. (NRS 104.9526)A UCC
search request may be delivered to the filing officer by any of the methods by
which a UCC document may be delivered to the filing officer pursuant to NAC 104.170. A UCC search request concerning a debtor
named on an initial financing statement may be made by an appropriate
indication on the face of the form for the initial financing statement if the
form is entitled to be filed and the appropriate filing fee and search fee are
tendered with the initial financing statement.

(a) The name of the debtor to be searched and
whether the debtor is an individual or an organization. A search request will
be processed using the name in the exact form it is submitted.

(b) The name and address of the person to whom the
search report is to be sent.

(c) The appropriate search fee.

2. If a filer requests a search at the time
a UCC document is filed, the search will be of the name of the debtor as set
forth on the form used for filing the UCC document. The requesting party must
be the remitter of the UCC document, and the search request shall be deemed to
request a search that would retrieve all financing statements filed on or
before the date the UCC document is filed.

1. A UCC search request may limit the copies
requested by limiting the copies to the city of the debtor, the date or range
of dates of filing, or the identity of the secured party of record on the
financing statement.

2. A report created by the filing officer in
response to such a request will contain the following statement: “A limited
search may not reveal all filings against the debtor searched, and the
requester of the search bears the risk of relying on such a search.” The
request may ask for copies of UCC documents identified on the primary search
request.

1. Search results will be created by
applying standardized search logic to the name presented to the filing officer.
Human judgment will not play a role in determining the results of the search.

2. The following rules apply to searches:

(a) There is no limit to the number of matches that
may be returned in response to the search criteria.

(b) No distinction will be made between upper and
lower case letters.

(c) Punctuation marks and accents will be
disregarded.

(d) Words and abbreviations at the end of a name
that indicate the existence or nature of an organization as set forth in the
“IACA List of Ending Noise Words” adopted by the International Association of
Corporation Administrators will be disregarded. The list is hereby adopted by
reference and may be obtained free of charge from the Secretary of State, 200
North Carson Street, Carson City, Nevada 89701-4069, or on the Internet from
the website of the International Association of Corporation Administrators at http://www.iaca.org/sts/.

(e) The word “the” at the beginning of the search
criteria will be disregarded.

(f) All spaces will be disregarded.

(g) For the first and middle names of individuals,
initials will be treated as the logical equivalent of all names that begin with
those initials. If no middle name or initial is provided, the middle name will
be equated with all middle names and initials. For example, a search request
for “John A. Smith” will cause the search to retrieve all filings against all
individual debtors with “John” as the first name, “Smith” as the last name, and
with the initial “A” or any name beginning with “A” in the middle-name field.
If the search request were for “John Smith,” with no designation in the
middle-name field, the search would retrieve all filings against individual
debtors with “John” as the first name, “Smith” as the last name, and with any
name or initial or no name or initial in the middle-name field.

3. After applying the rules provided in
subsection 2 to modify the name to be searched, the search will reveal only
names of debtors that:

(a) Are contained in financing statements
designated “all” or “unlapsed”; and

(b) Match the name requested.

(Added to NAC by Sec’y of State by R084-01, eff. 10-30-2001)

NAC 104.375Reports resulting from search. (NRS 104.9526)Reports
created in response to a search request will include the following:

1. Identification of the filing officer and
the certification of the filing officer required by the UCC.

2. The date the report was generated.

3. Identification of the name searched.

4. The certification date and time for which
the search is effective.

5. Identification of each initial financing
statement which has not lapsed and which was filed on or before the
certification date and time corresponding to the search criteria, by the name
of the debtor, the identification number, and the filing date and filing time.

6. For each initial financing statement on
the report, a listing of all related UCC documents filed by the filing officer
on or before the certification date.

7. Copies of all UCC documents revealed by
the search and requested by the person who requested the search.